Tariff timeline: Trump’s trade actions and how they impact Michigan
- President Donald Trump expected to announce “reciprocal” tariffs on many imported goods this week
- 25% tariffs on auto parts, finished car and truck imports also set to take effect
- Some have praised Trump for supporting domestic manufacturers, though others fear higher costs and retaliations from other countries
President Donald Trump is expected to announce a sweeping plan for “reciprocal” tariffs on imported goods Wednesday, the latest escalation in the administration’s fight to rewrite global trade policy.
Starting Thursday, 25% tariff collections on all imported vehicles and key parts are also set to begin, a change that could have outsized impacts on Michigan’s automotive industry and economy.
Previewing the president’s announcement for worldwide reciprocal tariffs, White House Press Secretary Karoline Leavitt predicted Wednesday “will go down as one of the most important days in modern American history.”
“The president's historic action tomorrow will improve American competitiveness in every area of industry, reduce our massive trade deficits and ultimately protect our economic and national security,” she told reporters on Tuesday.
But some fear the administration’s sweeping tariff plan could disrupt the economy and raise prices significantly for US consumers buying groceries, gas, cars and more.
Use our interactive timeline to explore Trump’s mounting tariffs, and read on what’s coming this week and what it might mean for Michigan.
What the new tariffs are
Last week, Trump announced plans for broad tariffs targeting the auto industry, including 25% tariffs on all finished foreign-made cars and light trucks and key automobile parts such as engines, transmissions, powertrains and electrical components.
He has also imposed targeted tariffs on steel and aluminum, in addition to targeted 25% tariffs on certain Canadian and Mexican imports. More sweeping tariffs on US border nations Trump says are related to the fentanyl crisis were temporarily paused.
Related:
- Michigan farmers facing ‘uncertain future’ amid funding freezes, tariff tensions
- Travel from Canada to Michigan dips 10% amid boycotts, border security fears
- Trump announces new auto tariffs; what it means for Michigan
Wednesday’s announcement is expected to focus on "reciprocal" tariffs on other imports from countries around the world that tax US imports, including new taxes on pharmaceuticals and lumber.
Tariff collections on imported vehicles and key parts are set to begin Thursday, and Trump characterized those tariffs as “permanent.”
What it means for Michigan’s economy
The stakes are especially high in Michigan, where auto industry supply chains blur borders. Roughly $77 billion in goods cross the Canadian border each year, and the state trades another $69 billion with Mexico.
Some auto parts cross between Canada and the US several times before an auto leaves an assembly line.
More than 280,000 Michiganders work in auto industry jobs, and the state has more than 2,200 automotive supplier and technology center facilities, according to data from MichAuto at the Detroit Regional Chamber.
Economists at the University of Michigan recently predicted steel and aluminum tariffs will cost the state about 2,300 payroll jobs in 2026 — but their forecast is based on an assumption that "long-lasting, broad-based tariffs on Mexico and Canada will be avoided."
Retaliatory tariffs from other nations in response to Trump’s latest round of tariffs could also affect several key industries in Michigan — including the agricultural industry, which exports $2.7 billion in agricultural goods each year. Canada, Mexico and China are Michigan's top markets.
Canada and China have already imposed increased tariffs on many US agricultural products in response to Trump’s tariff policies. US tariffs on certain imports could also impact Michigan farmers’ ability to grow food effectively — the vast majority of potash fertilizer supply comes from Canada.
What critics, advocates say
The president has argued tariffs are necessary to rectify trade imbalances and encourage foreign and domestic companies alike to manufacture their wares in the US.
Trump has been critical of existing supply chains that send parts back and forth across borders, calling them “ridiculous.” Regarding autos, he recently predicted the new tariffs would encourage cars “to be made in one location.”
Detroit Regional Chamber CEO Sandy Baruah and MichAuto Executive Director Glenn Stevens have asked the Trump administration to reconsider, advocating instead for an “accelerated renegotiation” of existing trade agreements with Mexico and Canada.
“A century of supply chains and relationships cannot be undone without tremendous economic harm to companies and workers if not done strategically and thoughtfully,” Baruah and Stevens wrote in a letter to key federal officials, arguing the tariff policies as proposed by Trump “will increase prices, drive down consumer demand, and therefore, lower the profitability of our companies.”
But United Auto Workers leaders cheered Trump’s auto tariff plans.
“These tariffs are a major step in the right direction for autoworkers and blue-collar communities across the country,” UAW President Shawn Fain said in a statement.
He continued: “It is now on the automakers … to bring back good union jobs to the US”
The easiest path, the union said on Wednesday after Trump’s announcement, could be realized in months by adding additional shifts in underutilized auto plants.
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